Item handling system and method

ABSTRACT

An item handling system for and method of handling items in an item stream, the system comprising: a validation unit for validating an element containing an authentication code on each item in an item stream, wherein an item is assigned as being spoiled where the element does not satisfy at least one validation criterion; and a sorting unit for separating spoiled items from the item stream.

FIELD OF THE INVENTION

The present invention relates to an item handling system for and methodof handling items, especially mail documents, such as sheets, and mailcarriers, such as envelopes, and in particular an item handling systemfor and method of refunding or reusing value as applied to spoileditems, especially postage value as applied to spoiled mail documentsbearing sensitive information.

BACKGROUND OF THE INVENTION

Where items, typically mail documents, such as sheets, or mail carriers,such as envelopes, as printed in large batches or runs, are to bedelivered by a postage service, the required postage value can either beapplied on the mail carriers or directly to the mail documents. Thedirect application of postage value to mail documents facilitates thesubsequent handling of the mail documents in not requiring the postagevalue subsequently to be applied separately to the mail carriers.Typically, postage value can be applied by way of an imprinted indiciumincorporating an authentication code, which indicium, where applieddirectly to a mail document, is provided at a window of a windowedenvelope, or an electronic label, such as a radio frequency (RF) tag,incorporating an authentication code.

The application of postage value can, however, lead to spoilage wheremail documents or mail carriers are not properly imprinted orelectronically labelled, for example, as a result of mis-registration ofthe printer or label writer or improper operation of the printer orlabel writer.

Where handling large batches of items, the numbers of spoiled items canbe quite significant. Ordinarily, a batch of items including any spoileditems would be delivered to the postage service, with spoiled itemsbeing returned in due course, and thereby necessitating the manualhandling of each of the spoiled items in order to request a refund ofthe postage value associated with each spoiled item. Where an item isspoiled, the item is currently required to be presented to the postageservice for a refund of the applied postage value.

As will be appreciated, the requesting of refunds in respect of spoileditems is particularly laborious, and often refunds are not requested asthe effort required to obtain the refunds does not merit the value ofthe refunds.

Also, as the present inventor has recognized, where the items includesensitive information, typically confidential, personal information,such as medical or financial information, the sensitive informationshould not be made available to a third party.

It is thus an aim of the present invention to provide an item handlingsystem for and method of handling items, especially mail documents, suchas sheets, and mail carriers, such as envelopes, which allow foridentification of spoiled items, and in particular an item handlingsystem for and method of refunding or reusing value as applied tospoiled items, especially postage value as applied to spoiled maildocuments bearing sensitive information.

SUMMARY OF THE INVENTION

In one aspect the present invention provides an item handling system forhandling items in an item stream, the system comprising: a validationunit for validating an element containing an authentication code on eachitem in an item stream, wherein an item is assigned as being spoiledwhere the element does not satisfy at least one validation criterion;and a sorting unit for separating spoiled items from the item stream.

In one embodiment the validation unit is operative to scan each item foran element.

Preferably, the at least one validation criterion requires the elementto have at least one physical characteristic.

More preferably, the at least one physical characteristic comprises atleast one of a position, size and color of the element.

In one embodiment the validation unit is operative to read data from theelement.

Preferably, the at least one validation criterion requiresauthentication of at least part of the read data.

In one embodiment the authentication of at least part of the read datarequires the at least part of the read data to have a predeterminableformat.

In another embodiment the authentication of at least part of the readdata requires the at least part of the read data to match check data.

In one embodiment the element is a printed imprint.

Preferably, the imprint is a two-dimensional barcode.

In another embodiment the element is an electronic label.

Preferably, the electronic label is a radio frequency tag.

In one embodiment the items bear sensitive information.

In one embodiment the sensitive information is printed on the items.

In another embodiment the items include an electronic label containingthe sensitive information.

Preferably, the electronic label is a radio frequency tag.

In one embodiment the system further comprises: a perforating unit forperforating each spoiled item about the element such as to allow asection of the item including the element and excluding the sensitiveinformation to be separated.

In another embodiment each item is perforated about a section includingthe element, such as to allow the section of the item including theelement and excluding the sensitive information to be separated.

In a further embodiment the element is removable from the item such asto allow the element to be separated.

In yet another embodiment each item includes a label on which theelement is provided, such as to allow the element to be separated byremoval of the label.

In one embodiment the sensitive information is encoded.

In a yet further embodiment the system further comprises: anobliteration unit for obliterating the sensitive information on eachspoiled item.

In one embodiment the obliteration unit comprises a printer forover-printing the sensitive information such as to render the sensitiveinformation unreadable.

In another embodiment the obliteration unit comprises an applicator forapplying a panel over the sensitive information such as to render thesensitive information unreadable.

In a further embodiment the obliteration unit comprises a cutter forcutting out a section of each spoiled item including the sensitiveinformation such that the item includes no sensitive information.

In a still further embodiment the system further comprises: a packagingunit for packaging each spoiled item such as to conceal the sensitiveinformation.

In a yet further embodiment each item includes a cover sheet on whichthe element is provided, such as to allow the cover sheet including theelement to be separated from the item.

In one embodiment the cover sheet includes no sensitive information.

Preferably, the system further comprises: a control unit for controllingoperation of the system.

In still yet another embodiment the control unit is operative togenerate a spoiled item notification in respect of each spoiled item forcommunication to a remote center.

Preferably, the control unit includes a communications module forelectronically communicating with the remote center, whereby the spoileditem notifications are transmitted electronically to the remote center.

In one embodiment each spoiled item notification is transmittedseparately.

In another embodiment the spoiled item notifications are transmitted inbatches at predeterminable intervals.

Preferably, the validation unit is operative to acquire an image of eachspoiled element, and each spoiled item notification includes an image ofthe respective spoiled element.

In one embodiment the image excludes the sensitive information.

In one embodiment the authentication code embodies value.

In a still yet further embodiment the control unit includes a refundcredit register and is operative to credit the refund credit register inrespect of the value as applied to each spoiled item.

In still yet another further embodiment the control unit is operative toprovide for reuse of the authentication code contained in the element ofeach spoiled item.

Preferably, the system further comprises: a writing unit for writing anelement on each item; and wherein the control unit is operative tocontrol the writing unit to write an element containing theauthentication code contained in the element of a previous item assignedas being spoiled.

In one embodiment the writing unit comprises a printing unit forprinting an imprint as an element on each item.

In another embodiment the writing unit comprises an electronic labelwriter for writing to an electronic label as an element on each item.

In one embodiment the items comprise documents.

Preferably, the documents comprise one or more sheets.

Preferably, the documents comprise mail documents.

In another embodiment the items comprise document carriers.

Preferably, the document carriers comprise envelopes.

Preferably, the document carriers comprise mall carriers.

In another aspect the present invention provides a method of handlingitems in an item stream, the method comprising the steps of: validatingan element containing an authentication code on each item in an itemstream, wherein an item is assigned as being spoiled where the elementdoes not satisfy at least one validation criterion; and separatingspoiled items from the item stream.

In one embodiment each item is scanned for an element in the validationstep.

Preferably, the at least one validation criterion requires the elementto have at least one physical characteristic.

More preferably, the at least one physical characteristic comprises atleast one of a position, size and color of the element.

In one embodiment data is read from each element in the validation step.

Preferably, the at least one validation criterion requiresauthentication of at least part of the read data.

In one embodiment the authentication of at least part of the read datarequires the at least part of the read data to have a predeterminableformat.

In another embodiment the authentication of at least part of the readdata requires the at least part of the read data to match check data.

In one embodiment the element is a printed imprint.

Preferably, the imprint is a two-dimensional barcode.

In another embodiment the element is an electronic label.

Preferably, the electronic label is a radio frequency tag.

In one embodiment the items bear sensitive information.

In one embodiment the sensitive information is printed on the items.

In another embodiment the items include an electronic label containingthe sensitive information.

Preferably, the electronic label is a radio frequency tag.

In one embodiment the method further comprises the step of: perforatingeach spoiled item about the element such as to allow a section of theitem including the element and excluding the sensitive information to beseparated.

In another embodiment each item is perforated about a section includingthe element, such as to allow the section of the item including theelement and excluding the sensitive information to be separated.

In a further embodiment the element is removable from the item such asto allow the element to be separated.

In yet another embodiment each item includes a label on which theelement is provided, such as to allow the element to be separated byremoval of the label.

In one embodiment the sensitive information is encoded.

In a yet further embodiment the method further comprises the step of:obliterating the sensitive information on each spoiled item.

In one embodiment the obliterating step comprises the step of:over-printing the sensitive information such as to render the sensitiveinformation unreadable.

In another embodiment the obliterating step comprises the step of:applying a panel over the sensitive information such as to render thesensitive information unreadable.

In a further embodiment the obliterating step comprises the step of:cutting out a section of each spoiled item including the sensitiveinformation such that the item includes no sensitive information.

In a still further embodiment the method further comprises the step of:packaging each spoiled item such as to conceal the sensitiveinformation.

In a yet further embodiment each item includes a cover sheet on whichthe element is provided, such as to allow the cover sheet including theelement to be separated from the item.

In one embodiment the cover sheet includes no sensitive information.

In still yet another embodiment the method further comprises the stepof: generating a spoiled item notification in respect of each spoileditem for communication to a remote center.

Preferably, the method further comprises the step of: electronicallytransmitting the spoiled item notifications to the remote center.

In one embodiment each spoiled item notification is transmittedseparately.

In another embodiment the spoiled item notifications are transmitted inbatches at predeterminable intervals.

Preferably, an image of each spoiled element is acquired in thevalidation step, and each spoiled item notification includes an image ofthe respective spoiled element.

In one embodiment the image excludes the sensitive information.

In one embodiment the authentication code embodies value.

In a still yet further embodiment the method further comprises the stepof: crediting a refund credit register in respect of the value asapplied to each spoiled item.

In still yet another further embodiment the method further comprises thestep of: reusing the authentication code contained in the element ofeach spoiled item.

Preferably, the method further comprises the step of: writing an elementon each item, wherein, where the element of a previous item is assignedas being spoiled, the written element contains the authentication codecontained in the element of the previous item assigned as being spoiled.

In one embodiment the writing step comprises the step of: printing animprint as an element on each item.

In another embodiment the writing step comprises the step of:electronically writing to an electronic label as an element on eachitem.

In one embodiment the items comprise documents.

Preferably, the documents comprise one or more sheets.

Preferably, the documents comprise mail documents.

In another embodiment the items comprise document carriers.

Preferably, the document carriers comprise envelopes.

Preferably, the document carriers comprise mail carriers.

In its preferred embodiment the present invention relates to a mailpreparation system for and method of preparing mail items for deliveryto a postage service. In validating the mail items prior to delivery toa postage service, the present invention provides that all of thedelivered mail items are valid items, and facilitates the obtainance ofa refund in respect of spoiled items.

In a further aspect the present invention provides an item handlingsystem for handling spoiled items including an element containing anauthentication code and bearing sensitive information, the systemincluding: a perforating unit for perforating each spoiled item aboutthe element such as to allow a section of the item including the elementand excluding the sensitive information to be separated.

In yet another aspect the present invention provides an item handlingsystem for handling spoiled items including an element containing anauthentication code and bearing sensitive information, the systemincluding: an obliteration unit for obliterating the sensitiveinformation on each spoiled item.

In one embodiment the obliteration unit comprises a printer forover-printing the sensitive information such as to render the sensitiveinformation unreadable.

In another embodiment the obliteration unit comprises an applicator forapplying a panel over the sensitive information such as to render thesensitive information unreadable.

In a further embodiment the obliteration unit comprises a cutter forcutting out a section of each spoiled item including the sensitiveinformation such that the item includes no sensitive information.

In a yet further aspect the present invention provides an item handlingsystem for handling spoiled items including an element containing anauthentication code and bearing sensitive information, the systemincluding: a packaging unit for packaging each spoiled item such as toconceal the sensitive information.

In a still further aspect the present invention provides an itemhandling system for handling spoiled items including an elementcontaining an authentication code and bearing sensitive information, thesystem including: a cover sheet application unit for applying a coversheet to each item on which an element is provided, such as to allow thecover sheet including the element to be separated from each spoileditem.

In a yet further aspect the present invention provides an item handlingsystem for handling spoiled items including an element containing anauthentication code and bearing sensitive information, the systemincluding: a control unit for controlling operation of the system andincluding a communications module for electronically communicating witha remote center, wherein the control unit is operative to generate aspoiled item notification in respect of each spoiled item and transmitthe spoiled item notifications electronically to the remote center.

In still yet another aspect the present invention provides an itemhandling system for handling spoiled items including an elementcontaining an authentication code embodying value and bearing sensitiveinformation, the system including: a control unit for controllingoperation of the system and including a refund credit register, whereinthe control unit is operative to credit the refund credit register inrespect of the value as applied to each spoiled item.

In a still yet further aspect the present invention provides an itemhandling system for handling spoiled items including an elementcontaining an authentication code embodying value and bearing sensitiveinformation, the system including: a control unit for controllingoperation of the system, wherein the control unit is operative toprovide for reuse of the authentication code contained in the element ofeach spoiled item.

In still yet another aspect the present invention provides a documentincluding an element containing an authentication code and bearingsensitive information, wherein the document is perforated about asection including the element, such as to allow the section of thedocument including the element and excluding the sensitive informationto be separated.

In one embodiment the document comprises one or more sheets.

In a still yet further aspect the present invention provides a documentincluding an element containing an authentication code and bearingsensitive information, wherein the element is attached to the documentsuch as to allow for complete removal therefrom.

In one embodiment the document comprises one or more sheets.

In still yet another further aspect the present invention provides adocument including an element containing an authentication code andbearing sensitive information, wherein the document includes a removablelabel on which the element is provided, wherein the label is attached tothe document such as to allow for complete removal thereof.

In one embodiment the document comprises one or more sheets.

BRIEF DESCRIPTION OF THE DRAWINGS

Preferred embodiments of the present invention will now be describedhereinbelow by way of example only with reference to the accompanyingdrawings, in which:

FIG. 1 illustrates an item handling system in accordance with a firstembodiment of the present invention;

FIG. 2 illustrates an imprint as properly printed on an item inaccordance with the first embodiment of the present invention;

FIG. 3 illustrates an imprint as improperly printed on an item inaccordance with the first embodiment of the present invention;

FIG. 4 illustrates an item handling system in accordance with a secondembodiment of the present invention;

FIG. 5 illustrates an imprint as properly printed on an item inaccordance with the second embodiment of the present invention;

FIG. 6 illustrates an imprint as improperly printed on an item inaccordance with the second embodiment of the present invention;

FIG. 7 illustrates an item handling system in accordance with a thirdembodiment of the present invention;

FIG. 8 illustrates an item having a properly-printed imprint thereon inaccordance with the third embodiment of the present invention;

FIG. 9 illustrates an item having an improperly-printed imprint thereonin accordance with the third embodiment of the present invention;

FIG. 10 illustrates an item handling system in accordance with a fourthembodiment of the present invention;

FIG. 11 illustrates an item having an improperly-printed imprint thereonin accordance with the fourth embodiment of the present invention;

FIG. 12 illustrates an item handling system in accordance with a fifthembodiment of the present invention;

FIG. 13 illustrates an item having an improperly-printed imprint thereonin accordance with the fifth embodiment of the present invention;

FIG. 14 illustrates an item handling system in accordance with a sixthembodiment of the present invention;

FIG. 15 illustrates an imprint as properly printed on an item inaccordance with the sixth embodiment of the present invention;

FIG. 16 illustrates an imprint as improperly printed on an item inaccordance with the sixth embodiment of the present invention;

FIG. 17 illustrates an item handling system in accordance with a seventhembodiment of the present invention;

FIG. 18 illustrates an imprint as properly printed on an item inaccordance with the seventh embodiment of the present invention;

FIG. 19 illustrates an imprint as improperly printed on an item inaccordance with the seventh embodiment of the present invention;

FIG. 20 illustrates an item handling system in accordance with an eighthembodiment of the present invention;

FIG. 21 illustrates an imprint as properly printed on an item inaccordance with the eighth embodiment of the present invention;

FIG. 22 illustrates an imprint as improperly printed on an item inaccordance with the eighth embodiment of the present invention;

FIG. 23 illustrates an item handling system as a modification of theeighth embodiment of the present invention;

FIG. 24 illustrates an item handling system in accordance with a ninthembodiment of the present invention;

FIG. 25 illustrates an item handling system in accordance with a tenthembodiment of the present invention;

FIG. 26 illustrates an item handling system in accordance with aneleventh embodiment of the present invention;

FIG. 27 illustrates an imprint as properly printed on an item inaccordance with the eleventh embodiment of the present invention;

FIG. 28 illustrates an imprint as improperly printed on an item inaccordance with the eleventh embodiment of the present invention;

FIG. 29 illustrates an item handling system in accordance with a twelfthembodiment of the present invention;

FIG. 30 illustrates an imprint as properly printed on an item inaccordance with the twelfth embodiment of the present invention; and

FIG. 31 illustrates an imprint as improperly printed on an item inaccordance with the twelfth embodiment of the present invention.

DETAILED DESCRIPTION OF THE PREFERRED EMBODIMENTS

FIG. 1 illustrates an item handling system 1 in accordance with a firstembodiment of the present invention.

The item handling system 1 comprises a printing unit 3 for printing apostage imprint 5 on each item 7 as delivered thereto. In thisembodiment the item 7 comprises a mail document, such as one or moresheets, for example, letter or information sheets, but in otherembodiments could be a mail carrier, such as an envelope. In thisembodiment the item 7 bears sensitive information, such as confidential,personal information.

The printing unit 3 includes a printer 9, in this embodiment having anaddressable head, for printing a postage imprint 5, in this embodimentas a two-dimensional barcode indicium, alternatively referred to as adata matrix, embodying postage value on an item 7.

The item handling system 1 further comprises a validation unit 11 forvalidating the imprint 5 as applied to each item 7.

The validation unit 11 includes an imaging apparatus 13, in thisembodiment utilizing a camera, for scanning each item 7 to determine theposition and shape of the footprint of the applied imprint 5, andacquiring an image of the imprint 5 so as to read the data thereof.

In this embodiment the validation unit 11 is operative to reference theposition and shape of the footprint of the scanned imprint 5 to anexpected position and shape. Where one or both of the position and shapeof the imprint 5 is not as expected, the imprint 5, and hence theassociated item 7, is assigned as being spoiled. In one embodiment thecolor of the imprint 5 could also be referenced. FIG. 2 illustrates agood imprint 5, in having a footprint which is of a predetermined sizeand located within a predetermined window. FIG. 3 illustrates an exampleof a spoiled imprint 5, in having a footprint which extends outside apredetermined window, typically as caused by mis-registration of theitem 7 and the printer 9 of the printing unit 3.

In this embodiment the validation unit 11 is operative to authenticatethe obtained data by referencing the obtained data with the print dataas utilized by the printing unit 3 to print the imprint 5. Where theobtained data and the print data do not reference, the imprint 5, andhence the associated item 7, is assigned as being spoiled. In thisembodiment the obtained data is referenced to the print data by a directcomparison of at least respective parts of the obtained data and theprint data. In other embodiments the obtained data can be referenced tothe print data by indirect comparison, through the use ofrepresentations of the respective data. In a further embodiment theobtained data could be authenticated by the format of the obtained data.

The item handling system 1 further comprises a perforating unit 15 forperforating each item 7 assigned as being spoiled to introduce aperforation 17 about the spoiled imprint 5, thereby providing for readydetachment of the spoiled imprint 5 from the main body of the item 7,which in this embodiment includes the sensitive information, andallowing for presentation of the detached spoiled imprint 5 to thepostage service for a refund of the applied postage value.

The perforating unit 15 includes a perforator 19 for perforating eachspoiled item 7 with a perforation 17, in this embodiment as a line,having a predetermined position.

The item handling system 1 further comprises a sorting unit 21 forremoving the spoiled items 7 from the item stream, thereby providing forcontinued operation of the item handling system 1 without having tointerrupt the item stream to retrieve the spoiled items 7.

In this embodiment the sorting unit 21 includes a printer 23 forprinting spoilage information 25, which designates the reason forspoilage, such as through the use of an error code, on each item 7. Aswill be appreciated, identifying the reason for spoilage facilitates theprocessing of spoiled items 7 by the postage service.

In one embodiment the item handling system 1 can be configured such asto cease operation where a predetermined number of spoiled imprints 5are printed for a given number of printed imprints 5. For example, whereX spoiled imprints 5 are printed for Y printed imprints 5, or Z spoiledimprints 5 are printed consecutively.

In one alternative embodiment the perforating unit 15 can be omitted andthe items 7 instead be pre-perforated.

FIG. 4 illustrates an item handling system 101 in accordance with asecond embodiment of the present invention.

The item handling system 101 comprises a printing unit 103 for printinga postage imprint 105 on a label 106 as affixed to each item 107. Inthis embodiment the item 107 comprises a mail document, such as one ormore sheets, for example, letter or information sheets. In thisembodiment the item 107 bears sensitive information, such asconfidential, personal information.

In this embodiment the label 106 is pre-applied to the item 107 such asto allow for direct printing thereon, and is removable such as to allowfor presentation of a postage imprint 105, where spoiled, to the postageservice separately from the item 107.

The printing unit 103 includes a printer 109, in this embodiment havingan addressable head, for printing a postage imprint 105, in thisembodiment as a two-dimensional barcode indicium, alternatively referredto as a data matrix, embodying postage value on the label 106 on eachitem 107.

The item handling system 101 further comprises a validation unit 111 forvalidating the imprint 105 as applied to each item 107.

The validation unit 111 includes an imaging apparatus 113, in thisembodiment utilizing a camera, for scanning each item 107 to determinethe position and shape of the footprint of the applied imprint 105, andacquiring an image of the imprint 105 so as to read the data thereof.

In this embodiment the validation unit 111 is operative to reference theposition and shape of the footprint of the scanned imprint 105 to anexpected position and shape. Where one or both of the position and shapeof the imprint 105 is not as expected, the imprint 105, and hence theassociated item 107, is assigned as being spoiled. In one embodiment thecolor of the imprint 105 could also be referenced. FIG. 5 illustrates agood imprint 105, in having a footprint which is of a predetermined sizeand located within a predetermined window on the label 106. FIG. 6illustrates an example of a spoiled imprint 105, in having a footprintwhich is not of the expected size, in this example of a smaller size ascaused by the printer 109 of the printing unit 103 not fully printingthe imprint 105.

In this embodiment the validation unit 111 is operative to authenticatethe obtained data by referencing the obtained data with the print dataas utilized by the printing unit 103 to print the imprint 105. Where theobtained data and the print data do not reference, the imprint 105, andhence the associated item 107, is assigned as being spoiled. In thisembodiment the obtained data is referenced to the print data by a directcomparison of at least respective parts of the obtained data and theprint data. In other embodiments the obtained data can be referenced tothe print data by indirect comparison, through the use ofrepresentations of the respective data. In a further embodiment theobtained data could be authenticated by the format of the obtained data.

The item handling system 101 further comprises a sorting unit 121 forremoving the spoiled items 107 from the item stream, thereby providingfor continued operation of the item handling system 101 without havingto interrupt the item stream to retrieve the spoiled items 107.Following separation of the spoiled items 107, the labels 106 thereonare removed for presentation of the spoiled imprints 105 to the postageservice for a refund in respect of the applied postage value.

This embodiment, by virtue of maintaining the spoiled items 107 intact,advantageously allows for the return of the spoiled items 107 to theitem stream on re-application of labels 106.

In one embodiment the item handling system 101 can be configured such asto cease operation where a predetermined number of spoiled imprints 105are printed for a given number of printed imprints 105. For example,where X spoiled imprints 105 are printed for Y printed imprints 105, orZ spoiled imprints 105 are printed consecutively.

FIG. 7 illustrates an item handling system 201 in accordance with athird embodiment of the present invention.

The item handling system 201 comprises a printing unit 203 for printinga postage imprint 205 on each item 207 as delivered thereto. In thisembodiment the item 207 comprises a mail document, such as one or moresheets, for example, letter or information sheets. In this embodimentthe item 207 bears sensitive information, such as confidential, personalinformation.

The printing unit 203 includes a printer 209, in this embodiment havingan addressable head, for printing a postage imprint 205, in thisembodiment as a two-dimensional barcode indicium, alternatively referredto as a data matrix, embodying postage value on an item 207.

The item handling system 201 further comprises a validation unit 211 forvalidating the imprint 205 as applied to each item 207.

The validation unit 211 includes an imaging apparatus 213, in thisembodiment utilizing a camera, for scanning each item 207 to determinethe position and shape of the footprint of the applied imprint 205, andacquiring an image of the imprint 205 so as to read the data thereof.

In this embodiment the validation unit 211 is operative to reference theposition and shape of the footprint of the scanned imprint 205 to anexpected position and shape. Where one or both of the position and shapeof the imprint 205 is not as expected, the imprint 205, and hence theassociated item 207, is assigned as being spoiled. In one embodiment thecolor of the imprint 205 could also be referenced. FIG. 8 illustrates anitem 207 bearing a good imprint 205, in having a footprint which is of apredetermined size and located within a predetermined window. FIG. 9illustrates an item 207 bearing an example of a spoiled imprint 205, inhaving a footprint which extends outside a predetermined window,typically as caused by mis-registration of the item 207 and the printer209 of the printing unit 203.

In this embodiment the validation unit 211 is operative to authenticatethe obtained data by referencing the obtained data with the print dataas utilized by the printing unit 203 to print the imprint 205. Where theobtained data and the print data do not reference, the imprint 205, andhence the associated item 207, is assigned as being spoiled. In thisembodiment the obtained data is referenced to the print data by a directcomparison of at least respective parts of the obtained data and theprint data. In other embodiments the obtained data can be referenced tothe print data by indirect comparison, through the use ofrepresentations of the respective data. In a further embodiment theobtained data could be authenticated by the format of the obtained data.

The item handling system 201 further comprises an obliteration unit 215for obliterating the sensitive information on each item 207 assigned asbeing spoiled, thereby allowing for the presentation of the spoileditems 207 to the postage service for a refund of the applied postagevalue without the sensitive information being made available to a thirdparty.

In this embodiment the obliteration unit 215 includes a printer 219 forover-printing the sensitive information on the item 207. FIG. 9illustrates an item 207 bearing an example of a spoiled imprint 205where the sensitive information is over-printed such as to render thesensitive information unreadable.

The item handling system 201 further comprises a sorting unit 221 forremoving the spoiled items 207 from the item stream, thereby providingfor continued operation of the item handling system 201 without havingto interrupt the item stream to retrieve the spoiled items 207.

In one embodiment the item handling system 201 can be configured such asto cease operation where a predetermined number of spoiled imprints 205are printed for a given number of printed imprints 205. For example,where X spoiled imprints 205 are printed for Y printed imprints 205, orZ spoiled imprints 205 are printed consecutively.

FIG. 10 illustrates an item handling system 201 in accordance with afourth embodiment of the present invention.

The item handling system 201 of this embodiment is quite similar to thatof the above-described third embodiment, and thus, in order to avoidunnecessary duplication of description, only the differences will bedescribed in detail.

The item handling system 201 of this embodiment differs from that of theabove-described third embodiment in that the obliteration unit 215includes, in place of the printer 219, an applicator 223 for permanentlyattaching a panel 225, typically an adhesive panel, over the sensitiveinformation on each spoiled item 207. FIG. 11 illustrates an item 207bearing an example of a spoiled imprint 205 where the sensitiveinformation is overlaid with a panel 225 such as to render the sensitiveinformation unreadable.

FIG. 12 illustrates an item handling system 201 in accordance with afifth embodiment of the present invention.

The item handling system 201 of this embodiment is quite similar to thatof the above-described third embodiment, and thus, in order to avoidunnecessary duplication of description, only the differences will bedescribed in detail.

The item handling system 201 of this embodiment differs from that of theabove-described third embodiment in that the obliteration unit 215includes, in place of the printer 219, a cutter 227 for cutting out asection 229 of the item 207 which encompasses the sensitive information.FIG. 13 illustrates an item 207 bearing an example of a spoiled imprint205 where a section 229 of the item 207 corresponding to the sensitiveinformation is cut out such as to allow the item 207 to be presented tothe postage service in obtaining a refund of the applied postage value.

FIG. 14 illustrates an item handling system 301 in accordance with asixth embodiment of the present invention.

The item handling system 301 comprises a printing unit 303 for printinga postage imprint 305 on each item 307 as delivered thereto. In thisembodiment the item 307 comprises a mail document, such as one or moresheets, for example, letter or information sheets, but in otherembodiments could be a mail carrier, such as an envelope. In thisembodiment the item 307 bears sensitive information, such asconfidential, personal information.

The printing unit 303 includes a printer 309, in this embodiment havingan addressable head, for printing a postage imprint 305, in thisembodiment as a two-dimensional barcode indicium, alternatively referredto as a data matrix, embodying postage value on an item 307.

The item handling system 301 further comprises a validation unit 311 forvalidating the imprint 305 as applied to each item 307.

The validation unit 311 includes an imaging apparatus 313, in thisembodiment utilizing a camera, for scanning each item 307 to determinethe position and shape of the footprint of the applied imprint 305, andacquiring an image of the imprint 305 so as to read the data thereof.

In this embodiment the validation unit 311 is operative to reference theposition and shape of the footprint of the scanned imprint 305 to anexpected position and shape. Where one or both of the position and shapeof the imprint 305 is not as expected, the imprint 305, and hence theassociated item 307, is assigned as being spoiled. In one embodiment thecolor of the imprint 305 could also be referenced. FIG. 15 illustrates agood imprint 305, in having a footprint which is of a predetermined sizeand located within a predetermined window. FIG. 16 illustrates anexample of a spoiled imprint 305, in having a footprint which extendsoutside a predetermined window, typically as caused by mis-registrationof the item 307 and the printer 309 of the printing unit 303.

In this embodiment the validation unit 311 is operative to authenticatethe obtained data by referencing the obtained data with the print dataas utilized by the printing unit 303 to print the imprint 305. Where theobtained data and the print data do not reference, the imprint 305, andhence the associated item 307, is assigned as being spoiled. In thisembodiment the obtained data is referenced to the print data by a directcomparison of at least respective parts of the obtained data and theprint data. In other embodiments the obtained data can be referenced tothe print data by indirect comparison, through the use ofrepresentations of the respective data. In a further embodiment theobtained data could be authenticated by the format of the obtained data.

The item handling system 301 further comprises a sorting unit 321 forremoving the spoiled items 307 from the item stream, thereby providingfor continued operation of the item handling system 301 without havingto interrupt the item stream to retrieve the spoiled items 307.

In one embodiment the item handling system 301 can be configured such asto cease operation where a predetermined number of spoiled imprints 305are printed for a given number of printed imprints 305. For example,where X spoiled imprints 305 are printed for Y printed imprints 305, orZ spoiled imprints 305 are printed consecutively.

The item handling system 301 further comprises a control unit 331 whichis operative to control the operation of the item handling system 301and includes a communications module 333 for providing for communicationwith a remote station 335.

In this embodiment the control unit 331 is operative to transmit refundrequests to the remote station 335 in respect of spoiled items 307,where each refund request includes an image of the respective spoiledimprint 305 so as to enable the postage service to authenticatespoilage. In one embodiment the control unit 331 is configured totransmit a refund request on detection of each spoiled item 307. Inanother embodiment the control unit 331 can be configured to transmitrefund requests at predetermined intervals, for example, time intervals,such as daily or weekly, or event intervals, on re-crediting the itemhandling system 301.

In this embodiment the control unit 331 includes a refund creditregister which stores the refunded value in respect of spoiled items 307and maintains a history of the refunded value, and the remote station335 is operative to credit the credit refund register with the postagevalue in respect of each authenticated refund request. In an alternativeembodiment the remote station 335 can reconcile the postage value ofauthenticated refund requests at each re-crediting operation of the itemhandling system 301.

FIG. 17 illustrates an item handling system 401 in accordance with aseventh embodiment of the present invention.

The item handling system 401 comprises a printing unit 403 for printinga postage imprint 405 on each item 407 as delivered thereto. In thisembodiment the item 407 comprises a mail document, such as one or moresheets, for example, letter or information sheets, but in otherembodiments could be a mall carrier, such as an envelope. In thisembodiment the item 407 bears sensitive information, such asconfidential, personal information.

The printing unit 403 includes a printer 409, in this embodiment havingan addressable head, for printing a postage imprint 405, in thisembodiment as a two-dimensional barcode indicium, alternatively referredto as a data matrix, embodying postage value on an item 407.

The item handling system 401 further comprises a validation unit 411 forvalidating the imprint 405 as applied to each item 407.

The validation unit 411 includes an imaging apparatus 413, in thisembodiment utilizing a camera, for scanning each item 407 to determinethe position and shape of the footprint of the applied imprint 405, andacquiring an image of the imprint 405 so as to read the data thereof.

In this embodiment the validation unit 411 is operative to reference theposition and shape of the footprint of the scanned imprint 405 to anexpected position and shape. Where one or both of the position and shapeof the imprint 405 is not as expected, the imprint 405, and hence theassociated item 407, is assigned as being spoiled. In one embodiment thecolor of the imprint 405 could also be referenced. FIG. 18 illustrates agood imprint 405, in having a footprint which is of a predetermined sizeand located within a predetermined window. FIG. 19 illustrates anexample of a spoiled imprint 405, in having a footprint which extendsoutside a predetermined window, typically as caused by mis-registrationof the item 407 and the printing head 409 of the printing unit 403.

In this embodiment the validation unit 411 is operative to authenticatethe obtained data by referencing the obtained data with the print dataas utilized by the printing unit 403 to print the imprint 405. Where theobtained data and the print data do not reference, the imprint 405, andhence the associated item 407, is assigned as being spoiled. In thisembodiment the obtained data is referenced to the print data by a directcomparison of at least respective parts of the obtained data and theprint data. In other embodiments the obtained data can be referenced tothe print data by indirect comparison, through the use ofrepresentations of the respective data. In a further embodiment theobtained data could be authenticated by the format of the obtained data.

The item handling system 401 further comprises a sorting unit 421 forremoving the spoiled items 407 from the item stream, thereby providingfor continued operation of the item handling system 401 without havingto interrupt the item stream to retrieve the spoiled items 407.

In one embodiment the item handling system 401 can be configured such asto cease operation where a predetermined number of spoiled imprints 405are printed for a given number of printed imprints 405. For example,where X spoiled imprints 405 are printed for Y printed imprints 405, orZ spoiled imprints 405 are printed consecutively.

The item handling system 401 further comprises a control unit 431 whichis operative to control the operation of the item handling system 401and includes a communications module 433 for providing for communicationwith a remote station 435.

In this embodiment the control unit 431 includes a spoiled itemsregister which maintains a history of spoiled items 407 and a refundcredit register which stores the refunded value in respect of spoileditems 407 and maintains a history of the refunded value, and isoperative both to maintain the spoiled items register in respect ofspoiled items 407, where each entry has an associated image of therespective spoiled imprint 405 so as to allow for future authenticationby the postage service, and credit the refund credit register in respectof the postage value for each spoiled item 407. In one embodiment thecredit in the refund credit register is credited to a main creditregister from which postage value is debited at predetermined intervals.

In this embodiment the remote station 435 can communicate with the itemhandling system 401 through the communications module 433 thereof toaudit the refund credit register so as to reconcile the refunded postagevalue against the credited postage value and the postage value of items407 delivered to the postage service.

FIG. 20 illustrates an item handling system 501 in accordance with aneighth embodiment of the present invention.

The item handling system 501 comprises a printing unit 503 for printinga postage imprint 505 on each item 507 as delivered thereto. In thisembodiment the item 507 comprises a mail document, such as one or moresheets, for example, letter or information sheets, but in otherembodiments could be a mail carrier, such as an envelope. In thisembodiment the item bears sensitive information, such as confidential,personal information.

In this embodiment the sensitive information is encoded, in preferredembodiments by digital signature or encryption. In being encoded, thesensitive information is not readable by other than the intendedrecipient who holds the required paired key, thus enabling the item 507to be presented freely to the postage service without alteration.

The printing unit 503 includes a printer 509, in this embodiment havingan addressable head, for printing a postage imprint 505, in thisembodiment as a two-dimensional barcode indicium, alternatively referredto as a data matrix, embodying postage value on an item 507.

The item handling system 501 further comprises a validation unit 511 forvalidating the imprint 505 as applied to each item 507.

The validation unit 511 includes an imaging apparatus 513, in thisembodiment utilizing a camera, for scanning each item 507 to determinethe position and shape of the footprint of the applied imprint 505, andacquiring an image of the imprint 505 so as to read the data thereof.

In this embodiment the validation unit 511 is operative to reference theposition and shape of the footprint of the scanned imprint 505 to anexpected position and shape. Where one or both of the position and shapeof the imprint 505 is not as expected, the imprint 505, and hence theassociated item 507, is assigned as being spoiled. In one embodiment thecolor of the imprint 505 could also be referenced. FIG. 21 illustrates agood imprint 505, in having a footprint which is of a predetermined sizeand located within a predetermined window. FIG. 22 illustrates anexample of a spoiled imprint 505, in having a footprint which extendsoutside a predetermined window, typically as caused by mis-registrationof the item 507 and the printing head 509 of the printing unit 503.

In this embodiment the validation unit 511 is operative to authenticatethe obtained data by referencing the obtained data with the print dataas utilized by the printing unit 503 to print the imprint 505. Where theobtained data and the print data do not reference, the imprint 505, andhence the associated item 507, is assigned as being spoiled. In thisembodiment the obtained data is referenced to the print data by a directcomparison of at least respective parts of the obtained data and theprint data. In other embodiments the obtained data can be referenced tothe print data by indirect comparison, through the use ofrepresentations of the respective data. In a further embodiment theobtained data could be authenticated by the format of the obtained data.

The item handling system 501 further comprises a sorting unit 521 forremoving the spoiled items 507 from the item stream, thereby providingfor continued operation of the item handling system 501 without havingto interrupt the item stream to retrieve the spoiled items 507.

In one embodiment the item handling system 501 can be configured such asto cease operation where a predetermined number of spoiled imprints 505are printed for a given number of printed imprints 505. For example,where X spoiled imprints 505 are printed for Y printed imprints 505, orZ spoiled imprints 505 are printed consecutively.

In one modification, as illustrated in FIG. 23, the item 507 includes anelectronic information label 523, in this embodiment a radio frequency(RF) tag, in which the sensitive information is encoded.

FIG. 24 illustrates an item handling system 601 in accordance with aninth embodiment of the present invention.

The item handling system 601 comprises an authentication label writingunit 603 for writing an authentication code to an electronicauthentication label 605, in this embodiment a radio frequency (RF) tag,on each item 607 as delivered thereto. In this embodiment the item 607comprises a mail document, such as one or more sheets, for example,letter or information sheets. In this embodiment the item 607 bearssensitive information, such as confidential, personal information.

The label writing unit 603 includes an electronic label writer 609, inthis embodiment a radio frequency (RF) writer, for writing anauthentication code embodying postage value to an authentication label605 on an item 607.

The item handling system 601 further comprises a validation unit 611 forvalidating the authentication code as written to the authenticationlabel 605 on each item 607.

The validation unit 611 includes a label reader 613, in this embodimenta radio frequency (RF) reader, for reading the authentication label 605such as to enable authentication of the authentication code.

In this embodiment the validation unit 611 is operative to authenticatethe obtained data by referencing the obtained data with the write dataas utilized by the label writing unit 603 in writing the authenticationcode to the authentication label 605. Where the obtained data and thewrite data do not reference, the authentication code, and hence theassociated item 607, is assigned as being spoiled. In this embodimentthe obtained data is referenced to the write data by a direct comparisonof at least respective parts of the obtained data and the write data. Inother embodiments the obtained data can be referenced to the write databy indirect comparison, through the use of representations of therespective data. In a further embodiment the obtained data could beauthenticated by the format of the obtained data.

The item handling system 601 further comprises a sorting unit 621 forremoving the spoiled items 607 from the item stream, thereby providingfor continued operation of the item handling system 601 without havingto interrupt the item stream to retrieve the spoiled items 607.

In this embodiment the sorting unit 621 includes an information labelwriting unit 623, in this embodiment a radio frequency (RF) writer, forover-writing an electronic information label 625, in this embodiment aradio frequency (RF) tag, which contains the sensitive information, oneach spoiled item 607 such as to render the sensitive informationunreadable.

In an alternative embodiment, where the electronic information labels625 are re-writeable, spoilage information, which designates the reasonfor spoilage, such as through the use of an error code, can be writtento the information label 625 of each spoiled item 607 by the informationlabel writing unit 623. As will be appreciated, identifying the reasonfor spoilage facilitates the processing of spoiled items 607 by thepostage service.

In one embodiment the item handling system 601 can be configured such asto cease operation where a predetermined number of spoiled items 607 areidentified for a given number of items 607. For example, where X spoiledauthentication labels 605 are identified for Y written labels 605, or Zspoiled labels 605 are written consecutively.

FIG. 25 illustrates an item handling system 701 in accordance with atenth embodiment of the present invention.

The item handling system 701 comprises an electronic label writing unit703 for writing an authentication code to an electronic authenticationlabel 705, in this embodiment a radio frequency (RF) tag, on each item707 as delivered thereto. In this embodiment the item 707 comprises amail document, such as one or more sheets, for example, letter orinformation sheets, but in other embodiments could be a mail carrier,such as an envelope. In this embodiment the item 707 bears sensitiveinformation, such as confidential, personal information.

The label writing unit 703 includes an electronic label writer 709, inthis embodiment a radio frequency (RF) writer, for writing anauthentication code embodying postage value to an authentication label705 on an item 707.

The item handling system 701 further comprises a validation unit 711 forvalidating the authentication code as written to the authenticationlabel 705 on each item 707.

The validation unit 711 includes a label reader 713, in this embodimenta radio frequency (RF) reader, for reading the authentication label 705such as to enable authentication of the authentication code.

In this embodiment the validation unit 711 is operative to authenticatethe obtained data by referencing the obtained data with the write dataas utilized by the label writing unit 703 in writing the authenticationcode to the authentication label 705. Where the obtained data and thewrite data do not reference, the authentication code, and hence theassociated item 707, is assigned as being spoiled. In this embodimentthe obtained data is referenced to the write data by a direct comparisonof at least respective parts of the obtained data and the write data. Inother embodiments the obtained data can be referenced to the write databy indirect comparison, through the use of representations of therespective data. In a further embodiment the obtained data could beauthenticated by the format of the obtained data.

The item handling system 701 further comprises a sorting unit 721 forremoving the spoiled items 707 from the item stream, thereby providingfor continued operation of the item handling system 701 without havingto interrupt the item stream to retrieve the spoiled items 707.

The item handling system 701 further comprises a packaging unit 723 forenclosing each of the spoiled items 707 in an enclosed package 725. Byenclosing the spoiled items 707, the sensitive information on thespoiled items 707 cannot be read by the postage service, but theauthentication label 705 can still be read electronically.

In one embodiment the item handling system 701 can be configured such asto cease operation where a predetermined number of spoiled items 707 areidentified for a given number of items 707. For example, where X spoiledauthentication labels 705 are identified for Y written authenticationlabels 705, or Z spoiled authentication labels 705 are writtenconsecutively.

FIG. 26 illustrates an item handling system 801 in accordance with aneleventh embodiment of the present invention.

The item handling system 801 comprises a cover sheet application unit803 for applying a cover sheet 805 over each item 807 as deliveredthereto. In this embodiment the item 807 comprises a mail document, suchas one or more sheets, for example, letters or information sheets, butin other embodiments could be a mail carrier, such as an envelope. Inthis embodiment the item 807 bears sensitive information, such asconfidential, personal information.

The item handling system 801 further comprises a printing unit 808 forprinting a postage imprint 809 on each cover sheet 805 as deliveredthereto.

The printing unit 808 includes a printer 810, in this embodiment havingan addressable head, for printing a postage imprint 809, in thisembodiment as a two-dimensional barcode indicium, alternatively referredto as a data matrix, embodying postage value on each cover sheet 805.

The item handling system 801 further comprises a validation unit 811 forvalidating the imprint 809 as applied to each cover sheet 805.

The validation unit 811 includes an imaging apparatus 813, in thisembodiment utilizing a camera, for scanning each cover sheet 805 todetermine the position and shape of the footprint of the applied imprint809, and acquiring an image of the imprint 809 so as to read the datathereof.

In this embodiment the validation unit 811 is operative to reference theposition and shape of the footprint of the scanned imprint 809 to anexpected position and shape. Where one or both of the position and shapeof the imprint 809 is not as expected, the imprint 809, and hence theassociated item 807, is assigned as being spoiled. In one embodiment thecolor of the imprint 809 could also be referenced. FIG. 27 illustrates agood imprint 809, in having a footprint which is of a predetermined sizeand located within a predetermined window. FIG. 28 illustrates anexample of a spoiled imprint 809, in having a footprint which extendsoutside a predetermined window, typically as caused by mis-registrationof the cover sheet 805 and the printer 810 of the printing unit 808.

In this embodiment the validation unit 811 is operative to authenticatethe obtained data by referencing the obtained data with the print dataas utilized by the printing unit 808 to print the imprint 809. Where theobtained data and the print data do not reference, the imprint 809, andhence the associated item 807, is assigned as being spoiled. In thisembodiment the obtained data is referenced to the print data by a directcomparison of at least respective parts of the obtained data and theprint data. In other embodiments the obtained data can be referenced tothe print data by indirect comparison, through the use ofrepresentations of the respective data. In a further embodiment theobtained data could be authenticated by the format of the obtained data.

The item handling system 801 further comprises a sorting unit 821 forremoving the spoiled items 807 from the item stream, thereby providingfor continued operation of the item handling system 801 without havingto interrupt the item stream to retrieve the spoiled items 807. In thisembodiment, by virtue of the imprints 809 being applied to cover sheets805, the cover sheets 805 of the spoiled items 807 can be removed andthe items 807 re-introduced into the mail stream. Also, as the coversheets 805 include no sensitive information, the cover sheets 805 can bepresented freely to the postage service without any alteration.

In one embodiment the item handling system 801 can be configured such asto cease operation where a predetermined number of spoiled imprints 809are printed for a given number of printed imprints 809. For example,where X spoiled imprints 809 are printed for Y printed imprints 809, orZ spoiled imprints 809 are printed consecutively.

FIG. 29 illustrates an item handling system 901 in accordance with atwelfth embodiment of the present invention.

The item handling system 901 comprises a printing unit 903 for printinga postage imprint 905 on an item 907 as delivered thereto. In thisembodiment the item 907 comprises a mail document, such one or moresheets, for example, letter of information sheets, but in otherembodiments could be a mail carrier, such as an envelope. In thisembodiment the item 907 bears sensitive information, such asconfidential, personal information.

In this embodiment the sensitive information is encoded, in preferredembodiments by digital signature or encryption. In being encoded, thesensitive information is not readable by other than the intendedrecipient who holds the required paired key, thus enabling the item 907to be presented to the postage service without alteration.

The printing unit 903 includes a printer 909, in this embodiment havingan addressable head, for printing a postage imprint 905, in thisembodiment as a two-dimensional barcode indicium, alternatively referredto as a data matrix, embodying postage value on an item 907, in thisembodiment a letter bearing confidential, personal information.

The item handling system 901 further comprises a validation unit 911 forvalidating the imprint 905 as applied to each item 907.

The validation unit 911 includes an imaging apparatus 913, in thisembodiment utilizing a camera, for scanning each item 907 to determinethe position and shape of the footprint of the applied imprint 905, andacquiring an image of the imprint 905 so as to read the data thereof.

In this embodiment the validation unit 911 is operative to reference theposition and shape of the footprint of the scanned imprint 905 to anexpected position and shape. Where one or both of the position and shapeof the imprint 905 is not as expected, the imprint 905, and hence theassociated item 907, is assigned as being spoiled. In one embodiment thecolor of the imprint 905 could also be referenced. FIG. 30 illustrates agood imprint 905, in having a footprint which is of a predetermined sizeand located within a predetermined window. FIG. 31 illustrates anexample of a spoiled imprint 905, in having a footprint which extendsoutside a predetermined window, typically as caused by mis-registrationof the item 907 and the printer 909 of the printing unit 903.

In this embodiment the validation unit 911 is operative to authenticatethe obtained data by referencing the obtained data with the print dataas utilized by the printing unit 903 to print the imprint 905. Where theobtained data and the print data do not reference, the imprint 905, andhence the associated item 907, is assigned as being spoiled. In thisembodiment the obtained data is referenced to the print data by a directcomparison of at least respective parts of the obtained data and theprint data. In other embodiments the obtained data can be referenced tothe print data by indirect comparison, through the use ofrepresentations of the respective data. In a further embodiment theobtained data could be authenticated by the format of the obtained data.

The item handling system 901 further comprises a control unit 915 whichis operative to control the operation of the item handling system 901.

In this embodiment the control unit 915 is operative, on assignment ofan item 907 as being spoiled, to control the printing unit 903 to reusethe authentication code of the spoiled imprint 905 on a subsequent item907 as delivered thereto. Through such reuse of the authentication codeof each spoiled imprint 905, a refund of the applied postage value isnot required. In this embodiment the control unit 915 is operative toeffect reuse of the authentication code from a spoiled item 907automatically, thereby avoiding any possibility of fraudulentintervention by an operator.

In this embodiment the control unit 915 maintains a spoiled itemsregister in respect of spoiled items 907, where each entry includes animage for the respective spoiled imprint 905.

In this embodiment the control unit 915 includes a communications module917 for providing for communication with a remote station 919. In thisembodiment the remote station 919 can communicate with the item handlingsystem 901 through the communications module 917 thereof to audit thespoiled items register so as to enable reconciliation of the spoileditems register and the spoiled items 907 as returned to the postageservice.

The item handling system 901 further comprises a sorting unit 921 forremoving the spoiled items 907 from the item stream, thereby providingfor continued operation of the item handling system 901 without havingto interrupt the item stream to retrieve the spoiled items 907.

In one embodiment the item handling system 901 can be configured such asto cease operation where a predetermined number of spoiled imprints 905are printed for a given number of printed imprints 905. For example,where X spoiled imprints 905 are printed for Y printed imprints 905, orZ spoiled imprints 905 are printed consecutively.

Finally, it will be understood that the present invention has beendescribed in its preferred embodiments and can be modified in manydifferent ways without departing from the scope of the invention asdefined by the appended claims.

For example, the item handling system 901 of the twelfth-describedembodiment can be modified in the manner of the item handling systems 1,101, 201, 301, 401, 501, 601, 701, 801 of the other-describedembodiments.

In another example, the item handling system 701 of the tenth-describedembodiment can be modified in the manner of the item handling systems 1,101, 201, 301, 401, 501, 601, 801, 901 of the other-describedembodiments to provide for concealment of the sensitive informationwhere that information would otherwise be readable.

1. A method of refunding or reusing value as applied to spoiled items,including an element containing an authentication code and bearingsensitive information, in an item stream, the method comprising thesteps of: validating the element on each item in an item stream, whereinan item is assigned as being spoiled where the element does not satisfyat least one validation criterion; separating spoiled items from theitem stream; for each spoiled item, presenting the element to a thirdparty, such that the sensitive information is not made available to thethird party; and for each spoiled item, refunding or reusing the valueas applied to the spoiled item.
 2. The method of claim 1, wherein eachitem is scanned for an element in the validation step.
 3. The method ofclaim 2, wherein the at least one validation criterion requires theelement to have at least one physical characteristic, preferablycomprising at least one of a position, size and color of the element. 4.The method of claim 1, wherein data is read from each element in thevalidation step.
 5. The method of claim 4, wherein the at least onevalidation criterion requires authentication of at least part of theread data.
 6. The method of claim 5, wherein the authentication of atleast part of the read data requires the at least part of the read datato have a predeterminable format.
 7. The method of claim 5, wherein theauthentication of at least part of the read data requires the at leastpart of the read data to match check data.
 8. The method of claim 1,wherein the element is a printed imprint, preferably a two-dimensionalbarcode.
 9. The method of claim 1, wherein the element is an electroniclabel, preferably a radio frequency tag.
 10. The method of claim 1,wherein the sensitive information is printed on the items.
 11. Themethod of claim 1, wherein the items include an electronic labelcontaining the sensitive information, preferably a radio frequency tag.12. The method of claim 1, further comprising the steps of: perforatingeach spoiled item about the element; and separating a section of theitem including the element and excluding the sensitive information, suchas to allow the section to be presented to a third party, with thesensitive information not being made available to the third party. 13.The method of claim 1, wherein each item is perforated about a sectionincluding the element, and further comprising the step of: separatingthe section of the item including the element and excluding thesensitive information, such as to allow the section to be presented to athird party, with the sensitive information not being made available tothe third party.
 14. The method of claim 1, wherein the element isremovable from the item, and further comprising the step of: separatingthe element, such as to allow the element to be presented to a thirdparty, with the sensitive information not being made available to thethird party.
 15. The method of claim 1, wherein each item includes alabel on which the element is provided, and further comprising the stepof: separating the label, such as to allow the label to be presented toa third party, with the sensitive information not being made availableto the third party.
 16. The method of claim 1, further comprising thestep of: obliterating the sensitive information on each spoiled item,such as to allow the item to be presented to a third party, with thesensitive information not being made available to the third party. 17.The method of claim 16, wherein the sensitive information is printed onthe items and the obliterating step comprises the step of: over-printingthe sensitive information, such as to render the sensitive informationunreadable.
 18. The method of claim 16, wherein the sensitiveinformation is printed on the items and the obliterating step comprisesthe step of: applying a panel over the sensitive information, such as torender the sensitive information unreadable.
 19. The method of claim 16,wherein the obliterating step comprises the step of: cutting out asection of each spoiled item including the sensitive information, suchthat the item includes no sensitive information.
 20. The method of claim1, further comprising the step of: packaging each spoiled item, such asto conceal the sensitive information and allow the item to be presentedto a third party, with the sensitive information not being madeavailable to the third party.
 21. The method of claim 1, wherein eachitem includes a cover sheet which includes no sensitive information andon which the element is provided, and further comprising the step of:separating the cover sheet including the element from the item, such asto allow the cover sheet to be presented to a third party, with thesensitive information not being made available to the third party. 22.The method of claim 1, further comprising the step of: generating aspoiled item notification in respect of each spoiled item forcommunication to a remote center.
 23. The method of claim 22, furthercomprising the step of: electronically transmitting the spoiled itemnotifications to the remote center, and preferably each spoiled itemnotification is transmitted separately or spoiled item notifications aretransmitted in batches at predeterminable intervals.
 24. The method ofclaim 22, wherein an image of each spoiled element is acquired in thevalidation step, and each spoiled item notification includes an image ofthe respective spoiled element which excludes the sensitive information,such as to allow the image of the element to be presented to a thirdparty, with the sensitive information not being made available to thethird party.
 25. The method of claim 1, further comprising the step of:crediting a refund credit register in respect of the value as applied toeach spoiled item.
 26. The method of claim 1, further comprising thestep of: reusing the authentication code contained in the element ofeach spoiled item.
 27. The method of claim 26, further comprising thestep of: writing an element on each item, wherein, where the element ofa previous item is assigned as being spoiled, the written elementcontains the authentication code contained in the element of theprevious item assigned as being spoiled.
 28. The method of claim 27,wherein the element is a printed imprint, preferably a two-dimensionalbarcode, and the writing step comprises the step of: printing an imprintas an element on each item.
 29. The method of claim 27, wherein theelement is an electronic label, preferably a radio frequency tag, andthe writing step comprises the step of: electronically writing to anelectronic label as an element on each item.
 30. The method of claim 1,wherein the items comprise documents, preferably comprising one or moresheets.
 31. The method of claim 30, wherein the documents comprise maildocuments.
 32. The method of claim 1, wherein the items comprisedocument carriers, preferably envelopes or mail carriers.
 33. The methodof claim 1, wherein the sensitive information is encoded.
 34. An itemhandling system for refunding or reusing value as applied to items,including an element containing an authentication code and bearingsensitive information, in an item stream, the system comprising: avalidation unit for validating the element on each item in an itemstream, wherein an item is assigned as being spoiled where the elementdoes not satisfy at least one validation criterion; a sorting unit forseparating spoiled items from the item stream, with the element of eachspoiled item being presented to a third party, such that the sensitiveinformation is not made available to the third party; and a control unitfor controlling operation of the system, wherein the control unitincludes a refund credit register and is operative to credit the refundcredit register in respect of the value as applied to each spoiled item,or is operative to provide for reuse of the authentication codecontained in the element of each spoiled item.
 35. The system of claim34, wherein the validation unit is operative to scan each item for anelement.
 36. The system of claim 35, wherein the at least one validationcriterion requires the element to have at least one physicalcharacteristic, preferably comprising at least one of a position, sizeand color of the element.
 37. The system of claim 34, wherein thevalidation unit is operative to read data from the element.
 38. Thesystem of claim 37, wherein the at least one validation criterionrequires authentication of at least part of the read data.
 39. Thesystem of claim 38, wherein the authentication of at least part of theread data requires the at least part of the read data to have apredeterminable format.
 40. The system of claim 38, wherein theauthentication of at least part of the read data requires the at leastpart of the read data to match check data.
 41. The system of claim 34,wherein the element is a printed imprint, preferably a two-dimensionalbarcode.
 42. The system of claim 34, wherein the element is anelectronic label, preferably a radio frequency tag.
 43. The system ofclaim 34, wherein the sensitive information is printed on the items. 44.The system of claim 34, wherein the items include an electronic labelcontaining the sensitive information, preferably a radio frequency tag.45. The system of claim 34, further comprising: a perforating unit forperforating each spoiled item about the element, such as to allow asection of the item including the element and excluding the sensitiveinformation to be separated, and thereby allow the section to bepresented to a third party, with the sensitive information not beingmade available to the third party.
 46. The system of claim 34, whereineach item is perforated about a section including the element, such asto allow the section of the item including the element and excluding thesensitive information to be separated, and thereby allow the section tobe presented to a third party, with the sensitive information not beingmade available to the third party.
 47. The system of claim 34, whereinthe element is removable from the item, such as to allow the element tobe separated, and thereby allow the element to be presented to a thirdparty, with the sensitive information not being made available to thethird party.
 48. The system of claim 34, wherein each item includes alabel on which the element is provided, such as to allow the element tobe separated by removal of the label, and thereby allow the label to bepresented to a third party, with the sensitive information not beingmade available to the third party.
 49. The system of claim 34, furthercomprising: an obliteration unit for obliterating the sensitiveinformation on each spoiled item, such as to allow the item to bepresented to a third party, with the sensitive information not beingmade available to the third party.
 50. The system of claim 49, whereinthe sensitive information is printed on the items and the obliterationunit comprises a printer for over-printing the sensitive information,such as to render the sensitive information unreadable.
 51. The systemof claim 49, wherein the sensitive information is printed on the itemsand the obliteration unit comprises an applicator for applying a panelover the sensitive information, such as to render the sensitiveinformation unreadable.
 52. The system of claim 49, wherein theobliteration unit comprises a cutter for cutting out a section of eachspoiled item including the sensitive information, such that the itemincludes no sensitive information.
 53. The system of claim 34, furthercomprising: a packaging unit for packaging each spoiled item, such as toconceal the sensitive information, and thereby allow the item to bepresented to a third party, with the sensitive information not beingmade available to the third party.
 54. The system of claim 34, whereineach item includes a cover sheet which includes no sensitive informationand on which the element is provided, such as to allow the cover sheetincluding the element to be separated from the item, and thereby allowthe cover sheet to be presented to a third party, with the sensitiveinformation not being made available to the third party.
 55. The systemof claim 34, wherein the control unit is operative to generate a spoileditem notification in respect of each spoiled item for communication to aremote center.
 56. The system of claim 55, wherein the control unitincludes a communications module for electronically communicating withthe remote center, whereby the spoiled item notifications aretransmitted electronically to the remote center, and preferably eachspoiled item notification is transmitted separately or spoiled itemnotifications are transmitted in batches at predeterminable intervals.57. The system of claim 55, wherein the validation unit is operative toacquire an image of each spoiled element, and each spoiled itemnotification includes an image of the respective spoiled element whichexcludes the sensitive information, such as to allow the image of theelement to be presented to a third party, with the sensitive informationnot being made available to the third party.
 58. The system of claim 34,further comprising: a writing unit for writing an element on each item;and wherein the control unit is operative to control the writing unit towrite an element containing the authentication code contained in theelement of a previous item assigned as being spoiled.
 59. The system ofclaim 58, wherein the element is a printed imprint, preferably atwo-dimensional barcode, and the writing unit comprises a printing unitfor printing an imprint as an element on each item.
 60. The system ofclaim 58, wherein the element is an electronic label, preferably a radiofrequency tag, and the writing unit comprises an electronic label writerfor writing to an electronic label as an element on each item.
 61. Thesystem of claim 34, wherein the items comprise documents, preferably oneor more sheets.
 62. The system of claim 61, wherein the documentscomprise mail documents.
 63. The system of claim 34, wherein the itemscomprise document carriers, preferably envelopes or mail carriers. 64.The system of claim 34, wherein the sensitive information is encoded.